How Does A Cash Advance or Pay Day Loan Work?

Pay Day Loans are fast cash short-term loans that provide the cash needed to meet immediate short-term cash flow problems. They are NOT a solution for longer-term financial problems for which payday loans may not be appropriate. You may want to discuss your financial situation with a nonprofit financial counseling service in your community.

FREQUENTLY ASKED QUESTIONS -- FAQs

Click on a question or scroll down to view all questions and answers.

What is a cash advance?
Why should I deal with Best Cash Advance®?
How much can I get and what is the cost?
How soon can I get the cash?
What are the requirements for a loan?
How do I get approved?
What if I have a bad credit history?
How do you get me the money and how do I pay?
What information must I send for a new loan?
Can I extend the loan past my next pay day?
How do I pay earlier than the due date and reduce the fees?
Can I skip paying the fee?
What if I miss a payment?
Can I increase the loan amount?
Can I rescind the loan?

1. What is a cash advance?

A cash advance is a short-term loan that is designed to help in a cash emergency. Sometimes called a pay day loan or a deferred deposit, it is an expensive form of credit that should be used sparingly.

At Best Cash Advance® you can earn reduced fees based on your timely payment of the first four loans. Each loan repayment also allows you to borrow more cash.

2. Why should I deal with Best Cash Advance®?

Customers prefer a Best Cash Advance® to a Payday Loan because:

FLEXIBLE LOAN PERIOD
You can borrow the money for as short or as long a period as you like(to a maximum of 12 weeks)! Whether you need the cash for a few days or a few weeks, the choice is YOURS. Just go to our website two business days before your due date if you want to continue all or part of the loan until your following pay day. Pay only the accrued fees along with your choice of the principal - - none, some, or all.
Please NOTE: We recommend you pay as much as you can and as soon as you can. The loan is for emergency purposes, not for your long-term financing needs.

LOWER FEES
The fee for a Best Cash Advance® is based on your status as a customer, the amount you borrow, and the time the loan is outstanding. Preferred Customers pay a lower fee than New Customers. We charge New Customers 2% per day (730% APR) for the principal (and the charges start the day after the money is deposited in your account). Borrow $100 and repay on the 4th day and the fee is only $6! Borrow $100 and repay on the 11th day and the fee is $20. See table below.

After you repay 4 loans on time with no returns, your fees decrease with each new loan you receive. See our fee table, which graphically shows how your APR is reduced for each loan until you achieve Preferred Customer status at a 1% per $100 per day rate (365% APR). That is one-half the cost of a typical payday loan.

The table below compares the Best Cash Advance® New Customers and Preferred Customers to typical payday loans that charge you a flat fee of $20, $25, or $30 per $100 borrowed.

Compare to Typical 'pay day Loan' Fees
Loan Term	Best Cash Advance®¹ Preferred Customer	Best Cash Advance®² New Customer	pay day Loan At $20/$100³	pay day Loan At $25/$100³	pay day Loan At $30/$100³
5 days	$4	$8	$20	$25	$30
10 days	$9	$18	$20	$25	$30
20 days	$19	$38	$40	$50	$60
30 days	$29	$58	$40	$50	$60

(1) Fee = 1% per day starting the day after funds are deposited in your account. APR = 365%
(2) Fee = 2% per day starting the day after funds are deposited in your account. APR = 730%
(3) Fee is constant for a fixed period, typically 14 to 16 days. APR varies from 480% to 2,190%, depending on loan duration

For detailed fee info click here

CONVENIENCE
Payments, Renewals, and extensions are all done on our web site at your convenience. After you become a customer you do not need to fax us anything for routine loans or extensions. We even send you automated reminders via email so you don't forget to set up a payment arrangement that fits your needs. Just make a few mouse clicks to select your payment choice and you're good to go! Every three months we do require a new bank statement.

3. How much can I get and what is the cost?

Your first advance can be for up to $400. When you pay back the first loan, the amount you can borrow the next time is increased by $50, up to a maximum of $500.

As a new customer, the cost is 2% per day (730% APR) of the amount borrowed. Repeat customers become Preferred Customers and are charged a fee as low as 1% per day (365% APR). We do not calculate a charge for the day the funds are deposited into your account (typically by 9am at your bank), but we do charge for the day when funds are debited (removed) from your account. The sooner you pay back the money, the lower the cost of the loan. If your $200 loan is deposited on the 5th and you repay on the 13th, the fee for the 8 days is (2%)*($200)*(7days) = $28, or 730% APR.

For detailed info click here

4. How soon can I get the cash?

If you get us the information we need by 4 PM Eastern Time, the cash should be in your checking account the next day when your bank opens for business. Please make sure we have a phone number where we can reach you today. Note: Some banks and credit unions may not process ACH transfers until mid or end-of-day, but this is not the usual case. Typically, you can access your cash advance the morning of the next business day. We do not process weekend and holiday requests until the next business day, with funds to your account the following day, because the ACH system processes payments only Monday to Friday.

5. What are the requirements for a loan?

To get a cash advance, our requirements are:

You must be over 18 years of age.
You must have an active email address (available free from Yahoo.com,Hotmail.com, and others).
Have take-home income greater than $1,200 per month.
Be employed at least 3 months if you don't have direct deposit, 2 months if you have direct deposit.
Have an active checking or savings account (your most recent 30 day bank statement or current 30 day on-line statement).
Have a working home or cell phone and be able to be reached.
Not have a cash loan default with another company.
Not have more than two other cash advances outstanding.

6. How do I get approved?

Follow these steps:

a. Complete the Application on-line.
b. Use the PIN# you select to sign the Master Loan Agreement and Loan Note on-line -- do NOT fax these to us; a copy will be immediately emailed to your for your records.
c. Fax us a complete copy of your most recent bank statement (with at least 30 days of details). No further documentation is required for 3 months
d. We will review your documents and give you a call to confirm the loan amount and answer any questions.
e. After we speak with you, we will initiate an ACH transfer of the funds to your account.

7. What if I have a bad credit history?

When you apply for your first loan, the only credit history we are concerned with is your prior history with other cash advance companies. If you are delinquent, you will be denied. Once you get your first loan from us we only care about your prior history with us. See our No Credit Check Loans

8. How do you get me the money and how do I pay?

All transactions to and from your bank account are sent via the federally regulated Automated Clearing House (ACH) which is an electronic, overnight process. The Master Loan Agreement and the Loan Note gives us your authorization to electronically credit your account to deposit funds and electronically debit your account to obtain payment on the scheduled repayment dates.

9. What information must I send for a new loan?

For your first loan you only need to fax your bank statement. If the bank statement is obtained on-line it must have both deposits and withdrawals with details for the past 30 days. If it is a mailed statement, it must be the most recent and be complete (excluding check copies).

For a loan extension you don't send anything - just complete the on-line extension request and electronically 'sign' the Loan Note on-line. For a repeat loan you don't send anything if your last faxed bank statement was whithin the past 3 months - - just go to the Customer Log-In page and click on the amount you want in your account the next business day. If your last faxed bank statement ended more then 3 months ago you will be asked to fax us your most recent bank statement.

10. Can I extend the loan past my upcoming pay day?

Yes. As a courtesy to you, we will try to send you an email reminder 5 days before your loan is due to complete the extension request and a new Loan Note. To get a loan extension (and to avoid having the full principal and fees deducted from your account on your next pay day), you must go to our Website and sign a new Loan Note at least 2 business days before your paydate. IT IS YOUR RESPONSIBILITY to go to our web site at www.bestcashadvance.com and request a loan extension. REMEMBER: If we don't receive a new Loan Note to extend the current loan, the current loan is DUE IN FULL on your paydate.

11. How do I pay earlier than the due date and reduce the fees?

You can pay all or part of your loan early and reduce your fees by going to the "Customer log-in" page where you will be taken to the page to "Extend Your Loan/Make a Payment Arrangement" You first enter your next 2 paydates and then enter the amount of the principal you want to pay. Next you enter WHEN you want us to debit your account (the default is your upcoming pay day,but you can select any business day between now and then. If you want to pay on the next business day you will have to call us to put the request through manually for you. There are no penalties for pre-payment, and you will be charged only for the days you need the money.

12. Can I skip paying the fee?

No. At a minimum you must pay the accrued fee each and every pay day. Each Loan Note is written to be due in full on your next paydate, but you have the option to extend the principal repayment until your following pay day. The accrued fee must be paid on each paydate.

13. What if I miss a payment?

If you miss a payment when due, the maximum of your next loan is reduced to $200. Miss two payments and you will no longer be eligible for our service. Also, we will pursue the Collection Process as described in the Master Loan Agreement.

14. Can I increase the loan amount?

You must pay a loan in full before taking out a loan for a greater amount. The maximum you can borrow is increased as you pay off each loan — up to a maximum of $500 or one-quarter of your monthly take-home income, whichever is less. Established Customers, who have repaid ten loans, are eligible for up to $750.

If you have any questions that we have not answered, please call us. We always have time for questions, and you’ll talk to a live person, not a machine if you call during the regular workday.

15. Can I rescind the loan?

You have the right to rescind (cancel) this loan if you notify us before 5PM on the next business day. If you rescind the loan we will immediately debit your account for the full amount of the principal and no fees will be charged.

SITE MAP

RATE THIS PAGE

REGISTERED IN - COMPLAINTS

CALL 1-888-688-9300

Best Cash Advance®, is registered in the State of Utah. All transactions are considered to take place in Utah, and are governed by Utah law regardless of where you may be viewing or accessing this site.
Entire contents of this website Copyright © 2002-2008 Best Cash Advance® All rights reserved.
Best Cash Advance®
2150 South 1300 East
Suite 500
Salt Lake City, UT 84106 Phone: 888-688-9300
Fax: 866-325-9600
help@bestcashadvance.com